Finding Text
Department of the U.S. Treasury AL #21.027 – Coronavirus State and Local Fiscal Recovery Funds Grant Period Year Ended June 30, 2025 Criteria: Federal regulations require that non-Federal entities verify that an entity is not excluded or disqualified prior to entering into a covered transaction. The County indicated it had developed procedures to verify through SAM.gov that all vendors are not suspended, debarred or excluded from receiving Federal dollars prior to payment of a claim. Condition and Context: During our procedures, we noted that four claims tested out of a population of five claims did not include verification through SAM.gov that the vendor was not suspended, debarred or excluded. For these four claims, we performed a verification through SAM.gov and noted none of the vendors were suspended, debarred or excluded. Cause: While the County indicated it had developed procedures to verify vendors were not suspended, debarred or excluded, its procedures lacked appropriate controls to ensure that these procedures had been implemented prior to the payment of a claim. Effect or Potential Effect: The lack of controls may result in noncompliance with Federal regulations by entering into a covered transaction with an entity who is suspended, debarred or excluded from receiving Federal funds. Questioned Costs: None Repeat Finding: The finding is a repeat finding of 2024-004. Recommendation: We recommend the Board of Commissioners of Lincoln County, Nebraska require documentation that a vendor has been verified through SAM.gov prior to the obligation of any federal funds. We further recommend that the County Clerk’s office review all claims submitted against federal funds to ensure the SAM.gov verification is attached to the request for payment. View of Responsible Officials: Management and governance agree with the finding. See attached Corrective Action Plan.